REG - SDCL Energy Effcncy. - Acquisition Completion

SDCL Efficiency Income TrustAnnouncement

11/04/2022 07:01

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RNS Number : 8528H  SDCL Energy Efficiency Income Tst  11 April 2022

11 April 2022

SDCL Energy Efficiency Income Trust plc

("SEEIT" or the "Company")

Acquisition Completion

Further to its announcement on 7 February 2022, SEEIT confirms that it has
completed the acquisition of an 80% equity interest in a high-efficiency and
operational biomass cogeneration plant, Sociedade de Iniciativa e
Aproveitamentos Florestais - Energia, S.A. ("SIAF" or the "Project"), in
Mangualde, Portugal from Capwatt S.A ("Capwatt"), for approximately €22
million. Furthermore, SEEIT has delivered an additional €15 million to SIAF
to part pay down its existing project finance green bond facility.

SIAF generates heat and power from sustainably sourced biomass. It supplies
critical onsite heat to an industrial facility manufacturing medium-density
fibreboard ("MDF") owned by Sonae Arauco PT ("SAPT") on a take-or-pay basis
and it generates electricity which benefits from the Portuguese Feed-in-Tariff
to the grid. The Project is expected to benefit from at least a further 23
years of stable, inflation linked, contracted cashflows with no demand risk,
providing good visibility of returns for SEEIT.

The acquisition has been funded from existing cash reserves. The remaining
balance of SIAF's project finance green bond facility will be equivalent to
approximately €20 million.

In addition to the acquisition of the Project, SEEIT and Capwatt have signed a
Heads of Terms to focus on the joint development and acquisition of energy
efficiency projects across Iberia.

For Further Information

 

 Sustainable Development Capital LLP  T: +44 (0) 20 7287 7700

 Jonathan Maxwell

 Purvi Sapre

 Eugene Kinghorn

 Allan Walker

 Jefferies International Limited      T: +44 (0) 20 7029 8000

 Tom Yeadon

 Gaudi le Roux

 TB Cardew                            T: +44 (0) 20 7930 0777

 Ed Orlebar                           M: +44 (0) 7738 724 630

 Joe McGregor                         E: SEEIT@tbcardew.com (mailto:SEEIT@tbcardew.com)

 

 

About SEEIT

 

SDCL Energy Efficiency Income Trust plc is a constituent of the FTSE 250
index. It was the first UK listed company of its kind to invest exclusively in
the energy efficiency sector. Its projects are primarily located in the UK,
Europe and North America and include, inter alia, a portfolio of cogeneration
assets in Spain, a portfolio of commercial and industrial solar and storage
projects in the United States, a regulated gas distribution network in Sweden
and a district energy system providing essential and efficient utility
services on one of the largest business parks in the United States.

The Company aims to deliver shareholders value through its investment in a
diversified portfolio of energy efficiency projects which are driven by the
opportunity to deliver lower cost, cleaner and more reliable energy solutions
to end users of energy.

The Company is targeting an attractive total return for shareholders of 7-8
per cent. per annum (net of fees and expenses and by reference to the initial
issue price of £1.00 per Ordinary Share), with a stable dividend income,
capital preservation and the opportunity for capital growth. The Company is
targeting a dividend of 5.62p per share in respect of the financial year to 31
March 2022. SEEIT's last published NAV was 104.5p per share as at 30 September
2021.

Past performance cannot be relied on as a guide to future performance.

Further information can be found on the Company's website at www.seeitplc.com
(http://www.seeitplc.com) .

Investment Manager

 

SEEIT's investment manager is Sustainable Development Capital LLP ("SDCL"), an
investment firm established in 2007, with a proven track record of investment
in energy efficiency and decentralised generation projects in the UK,
Continental Europe, North America and Asia.

SDCL is headquartered in London and also operates worldwide from offices in
New York, Dublin, Madrid, Hong Kong and Singapore. SDCL is authorised and
regulated in the UK by the Financial Conduct Authority.

Further information can be found on at www.sdclgroup.com
(http://www.sdclgroup.com) .

 

 

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